Sendirian Berhad company Registration in Malaysia

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What is Sdn Bhd company?

If you want to incorporate a Sdn Bhd company, you should know exactly what Sdn Bhd is. Sdn Bhd is an abbreviation of Sendirian Berhad, a limited liability company in Malaysia. In Malaysia, this kind of company is very popular with businessmen. Sdn Bhd company may not be registered following the Companies Act 2016 unless it has appointed one director and one shareholder. This means that a Sdn Bhd company can be easily registered in Malaysia and does not require any business partner.

Some important features of Sdn Bhd Company which you should know

Limited by shares, this type of company is restricted. Consequently, the shareholders and company secretaries of a Sdn Bhd undertaking will not be liable for their shares if it declares an overall loss.

As long as the shareholders, directors, or company secretaries do not liquefy, the company shall have the right to proceed with its perpetual succession.

All such companies may sue any other person or company. Likewise, any other person or firm may sue the Sdn Bhd company.

Sdn Bhd may enter into contracts with other companies and carry out legitimate commercial activity.

What are the eligibility criteria for Sdn Bhd Company?

  • You need one director and a shareholder to establish the Sdn Bhd company in Malaysia.
  • The good news is that the same person can hold both positions; you will be a director and shareholder if you have fulfilled these three requirements-
  • You have to be a resident of Malaysia
  • Your age is more than 18 years
  • You should also fulfil the other requirements of the Companies Act 2016 if you want to hold the position.

However, you should also be familiar with your roles and responsibilities as a director and shareholder in Malaysia before you register for the post to ensure that you can fulfil your responsibilities or not, as the main motto is to make your company successful.

What are the steps to register your company as Sdn Bhd in Malaysia?

Our team at Enterslice will guide you through the whole registration process. Once you have all the information which was required for you to know, then follow these steps for registration of your company as Sdn Bhd company in Malaysia

  • Firstly, you have to visit the online portal, i.e. MyCoID, and register your account
  • Once your account is registered at the MyCoID portal, you have to verify and activate your account through the SSM counter.
  • Then you will receive your verified login credential through EmailEmail
  • Your fourth step will be to go to the Direct Incorporation Application for the performance of the Name Search procedure. You must provide the company's three anticipated names to start this procedure.
  • Then, a Super form will appear on your computer screen, which permits you to clarify the meaning of the proposed company name; this form is mandatory to fill out.
  • Now, you have to choose a business code that will provide both your address and the company's Business and registered address.
  • The system itself will list you as a shareholder or director of the company.
  • Now you have to apply after carefully reviewing the information which you have given. Then, from here, you will be directed directly to the Transaction page.
  • The registration process will be completed after you pay RM1,000 for registration. Also, remember to collect the transaction receipt.
  • Once you have done everything, “the notice of registration “will be sent to you through email, which will serve as proof of registration.

What are the Advantages of Sdn Bhd Company?

Sendirian Berhad Private Limited Company was established under the Companies Act 2016 as a legal entity and a juristic person. Therefore, the company has a wide range of powers in law, such as opening bank accounts, appointing employees, making investments, obtaining licenses, and so on. The directors and shareholders of a company are not personally liable to the creditors of those companies for their debts.

Incessant existence

Sdn Bhd company is a perpetual succession, which means that it will continue to exist

until its legal dissolution. The death or other leaving of any member does not affect

the existence of the company as a separate legal entity and continues to exist

irrespective of the change in ownership.

Own your property

A Private Limited Company (Sdn. Bhd.), being an artificial person, can acquire, own, enjoy, and alienate property in its name. A company's property may consist of machinery, buildings, intangible assets, land, residential properties, factories, etc., and no shareholder can claim it until the company is established as a going concern.

Transferability is easy

By transferring shares, the ownership of the company can be transferred easily. It is sufficient for the company's ownership transfer to sign, file, and transfer the share transfer form and the share certificate. Other shareholders' consent may be required to implement share transfers in a private company.

Separate Legal entity

Sdn Bhd company, established under the Companies Act 2016, is a legal entity

Juristic person. Therefore, Sdn Bhd company has various legal capacities, including the appointment of employees, the initial of a bank account, obtaining licenses, and as an autonomous corporate entity.

Deriving Capacity

Venture capitalists, banks, and financial institutions choose to provide funding to a company instead of partnership firms.

The lesser income tax rate

The highest tax rate for a private limited company is 24%, while an individual's highest income tax rate may be as high as 28%. A judicious distribution of income can help income tax savings.

What are the documents needed for the registration of Sdn Bhd Company?

When you register your company online in Malaysia with government assistance, some essential documents will be submitted for registration. Below are the documents you will need for the registration of a company in Malaysia

Copy of the Certificate of Incorporation: A copy of the company Identification Card, which is a formal document certifying its formation and registration, is one of the essential documents needed to establish a company in Malaysia.

Copy of Certificate of company’s registration: A certified copy of the company registering document shall provide additional verification of the company’s legal status.

Copy of certificate of Memorandum of Association: The Memorandum of Association summarizes the company’s goals, rules, and operations. A certificate copy of the MOA is needed for the registration process.

Filling forms 13A, 79, and 80:Among the main documents needed for company registration in Malaysia are forms 13A, 79, and 80, which are mandated by the supervisory authority.

Copy of document Company Name Approval:You will need a copy of the document issued by the Companies Commission of Malaysia (SSM), confirming the consent of the chosen company name.

Article of Association: Submission of the AOA, which will define the internal rules governing the company management and operations

Business Plan: You have to submit the business plan, which has the details of all the company’s goals and financial projections. Important information, such as the viability and sustainability of a business, can be found in this document.

Appointment Letter: Including a letter of appointment sets out the key roles and responsibilities of individuals within the company. This will clarify the organizational structure further.

Recommendation Letter: This letter can support the company's integrity, possibly enhancing the registration process.

How much time will it take to Register Sdn Bhd Company?

Generally, your Sdn Bhd company registration takes only 1 to 2 weeks. Here’s the brief idea after breaking it down into parts

  • Company name search, Account registration, and activation will take 1day
  • 2 to 3 days for preparation of registration documents
  • 1 day for obtaining signatures from shareholders and directors
  • 3 to 5 days for SSM document submission
  • 1 day for getting the SSM Digital Incorporation Certificate

Difference Between Berhad and Sdn Bhd Company?

Let us begin with the names of these companies and what they mean. The term Sendirian Berhad is a private limited company. On the other hand, Berhad is a public company. In principle, public companies are listed on the stock exchange, which means that they are publicly traded companies. The most significant differences between Sdn Bhd company and Berhad companies can be seen in the following table

Affluence of Buying Shares

The general public may own only shares in a Sdn Bhd entity through the shareholder agreement, which requires the consent of its existing shareholders and is free to buy available shares from publicly listed firms.

Fiscal Reporting Standards

Berhad Firms are required to make their financial statements publicly available, while Sdn Bhd companies are not. A higher standard is generally expected of Bhd Companies, although all companies should strictly observe financial reporting.

Number of shareholders

Sdn Bhd company can only have a max of 50 shareholders, while Berhad may have an infinite number of shareholders.

Extent of Business

Sdn Bhd companies are often medium-sized businesses, while Bhd firms are the biggest businesses in Malaysia.

How much will you pay for the registration of Sdn Bhd Company?

The two major expenses in this whole process for registering Sdn Bhd Company are

The cost to register Sdn Bhd

The fees of Company Secretary

What Services will Enterslice provide you in the registration of Shd Bhd Company?

  • Enterslice will check whether the name proposed by you is available or not
  • Enterslice will file the registration forms with SSM
  • We will provide you clarification when the registration process is completed
  • Enterslice will help you prepare all registration forms
  • We will help you make resolutions and minutes of the first board meeting
  • Enterslice will also prepare a resolution to open a bank account
  • We will prepare the documents required for the selection of the company secretary
  • Enterslice will prepare for you section 14, section 15, and section 17 and also section 58

Frequently Asked Questions

This information can be checked through the SSM e-info portal with the fees

The year of registration shall be represented in the initial four digits. The type of business entity are the following two numbers

  • Local companies in the area
  • A foreign company
  • Business
  • Local limited liability partnership (LLP) The registration number sequence contains the last six digits


You have to go to the MCA website

Yes, it is the most favoured option for foreign investors

There is no director fees required in Malaysia

Yes. The World Bank has ranked Malaysia as the 6th easiest place to do Business.

It is a unique 12-digit number issued to each business entity

There were 51963 companies according to the last checked

When the registration process is completed, SSM issues a certificate of registration.

In general, the Sdn Bhd structure provides entrepreneurs with greater flexibility in recruiting and managing staff, which can ultimately contribute to the growth of their businesses. Companies can benefit from better access to capital funding, tenders, and potential partners due to the favourable reputation of the Sdn Bhd structure.

The minimum paid-up capital is 1 MYR.

A certificate of incorporation is a document issued by SSM that shows that the company has been established. The certificate bears the official company name, date of incorporation, and company number.

Anyone may set up a company in Malaysia if he wishes to form a company. You're free to do it yourself or have an agent work for you. The incorporation guidelines and procedures should be well-known to the person who processes them. Therefore, the acquisition of incorporation services to speed up and finish this procedure promptly is advisable.

For start-ups, paid-up capital is important to fund operations and other expenses.

  • Company Limited by shares
  • Company limited by guarantee
  • company unlimited


Yes, you can both if you can manage them

Name reservation is an application by SSM to reserve the proposed name of your company.

The reservation lasts for 30 days or till the Registrar allows it.

Yes, the appointment is necessary for any incorporated company in Malaysia.

A private company can start operations immediately after incorporation.

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